Online fraud prevention is most effective when systems continuously learn from real transaction outcomes. While fraud screening tools can assess risk during checkout, the final payment result, whether approved or declined by the payment gateway, provides valuable intelligence that can further improve fraud detection accuracy.
The FraudLabs Pro Payment API allows merchants to send the final payment outcome back to the fraud detection system. By reporting these outcomes, merchants help FraudLabs Pro refine its risk analysis and strengthen fraud prevention for future transactions.
What Is the FraudLabs Pro Payment API #
The FraudLabs Pro Payment API allows merchants to submit the payment status along with detailed response messages, such as insufficient funds, declined by bank or pickup card, after a transaction has been processed by the payment gateway.
This data is analyzed and incorporated into our training engine to continuously enhance fraud detection performance. As a result, merchants benefit from more accurate risk scoring, fewer false positives and stronger protection against suspicious transactions.
Why Payment Feedback Matters for Fraud Detection #
When using the Fraud Order screen, our system captures key transactional attributes, such as IP address, email address, order details and billing information, to generate a fraud risk score. However, it does not natively capture post-authorization feedback from the payment gateway, including transaction status (e.g, approved, declined) and response codes/messages (e.g, insufficient funds, do not honor, pickup card).
These payment outcomes are critical signals, as card issuers and payment gateways apply their own risk models, authorization rules and fraud controls during the transaction process. As such, they provide an additional layer of validation that complements our fraud screening.
By submitting these results via the Payment API, merchants enable FraudLabs Pro to map fraud risk scores against actual authorization outcomes. This creates a closed feedback loop that enriches the training dataset, allowing the system to recalibrate scoring models based on real-world payment behavior.
Over time, this improves model precision, enhances detection of high-risk transactions, and reduces false positives, ultimately leading to better approval rates and stronger fraud prevention performance.
How the Feedback Payment API Works #
Merchants update their system flow by reporting the final outcome of a transaction after it has been processed by a payment gateway. To integrate this, merchants send a POST request to https://api.fraudlabspro.com/v2/payment/feedback immediately after receiving the gateway’s response. The request must include your API license key, the email address associated with the order, the final status (such as successful or declined), and the specific message returned by the payment gateway. Including the optional fraudlabspro_id further helps the system link the feedback to the initial fraud screening.
POST https://api.fraudlabspro.com/v2/payment/feedback| Parameter | Type | Description |
| key | string | Required. API license key. |
| string | Required. Email address of the payment order. | |
| status | string | Required. Status of the payment order. |
| message | string | Required. Message returned from the payment gateway for the payment order. |
| fraudlabspro_id | string | Optional. Unique transaction ID generated by the Fraud Check API. |
Merchants can call this API immediately after receiving the payment gateway response, ensuring that the payment outcome is accurately recorded.
Real-Time Notifications #
FraudLabs Pro also allows merchants to configure notification settings within the Merchant Area > Settings > General page. The payment gateway sends notifications to alert merchants when it declines a high-risk transaction. In addition, merchants can decide to add the customer to either blacklist or watchlist or no action (-) in the notification settings configuration.
This capability helps merchants:
- Investigate suspicious payment attempts
- Monitor potential fraud patterns
- Take additional actions such as blocking users or reviewing accounts
When a high-risk payment is declined, an email notification will be sent to the merchant. Our system uses machine learning, analyzing patterns in historical transaction data and display related orders in the email. The system will also prompt the merchant to manually audit recent transactions linked to the user and proactively refund any at-risk orders to reduce the risk of chargebacks. An example of the email notification as below:
Conclusion #
The FraudLabs Pro Payment API adds an important layer of intelligence to fraud detection. By reporting final payment outcomes, merchants help the system continuously improve its ability to detect fraudulent behavior.
Integrating the Feedback Payment API is simple, yet the impact on fraud prevention can be significant. With better insights into real payment results, businesses can reduce fraud risk, improve decision accuracy and build a safer payment environment for their customers.
Secure Transactions, Seamless Business #
Say goodbye to fraud worries! Secure your online store with FraudLabs Pro now.